UP CM Yogi Adityanath Plans Special Package To Attract Companies Who Want To Shift Units Out Of China

The Yogi Adityanath government has asked bureaucrats to chalk out a special package to be offered to multinational companies which are looking to shift their manufacturing basis and units out of China — the country where the Covid-19 outbreak began, turning into a pandemic.

Adityanath is sensing a business opportunity as multinational companies seem disenchanted with the idea of having their set up in China and may want to move their manufacturing units out of there.

India stands to profit from this disenchantment, and Adityanath as CM of UP, wants to put the state in the forefront of attracting investment and capital.

According to this report, Adityanath has directed the industrial development and MSME department to formulate a package for these multinational companies.

UP additional chief secretary Awanish Kumar Awasthi has been quoted as saying: “The chief minister has directed the industrial development and MSME department to formulate a package for these companies, which could be offered in the second round of our investment garnering exercise.”

Awasthi added that the state had taken cognisance of reports suggesting that big companies were looking for alternative bases outside China.

The Adityanath government had plans to organise a Global Investors Summit in Lucknow at the end of this year. The idea is to pitch the state as an ideal international investment destination across sectors. The UP Investor Summit is already a vital event in Adityanath's priorities for the state.

The Adityanath government was also instrumental in setting up a mode, where 11 different committees tackle the economic and social challenges being thrown by the pandemic and the resulting lockdown with penetration across segments.

This development comes just weeks after Japan earmarked $2.2 billion to help its manufacturers shift production out of China. White House National Economic Council Director Larry Kudlow has said that the US should also consider ‘paying the moving costs’ of the American company that wants out of China.